Three Quantitative Management Problems in Public Procurement and Decision Procedures for Their Analysis and Solving
Three management problems that a state (or a public administration acting on its behalf) faces in procuring goods and/or services are considered: a) choosing the type of a contract to be awarded and the type of a competitive bidding to determine the winning bid, b) setting the initial price for a contract being the subject of the bidding, and c) designing (or choosing) a set of rules for determining the winning bid by means of the chosen competitive bidding. Mathematical models and decision procedures for analyzing and solving these problems are discussed.
The paper discusses anti-corruption effects of public procurement reforms in Russia.
The reform of budget sector’ entities enables us to compare the impact of different types of public procurement regulations in budget and autonomous organizations in Russia. Such analysis is important in the view of critical discussion on the effects of current procurement regulation (94-FL) as well as taking into account introducing of the Federal Contract System in 2014.
Using the differences in differences methodology we consider public procurements of two national universities in 2011-2012. All procurements of the first university were regulated by the 94-FL requirements. Procurements of the second university were regulated by the 94-FL until June 2011. Later this university introduced its own Procurements Provision. Comparative analysis of procurements of these organizations enables us to estimate the impact of the different types of regulations on the efficiency of public procurement measured by the level of competition and price decline in public tenders as well as timely execution of procurement contracts.
This volume comprises the proceedings of the IX Moscow International Conference on Operations Research (ORМ 2018 – Germeyer100) in the scope of fundamental research and applications of decision-making theory under uncertainty, operations research in multiple areas as well as numerical methods of operations research. The conference is devoted to the centenary of the outstanding Soviet scientist, professor Yuri Germeyer who contributed greatly to the development of mathematical foundations of the decision making theory and played a key role in the formation of the domestic school of operations research and the game theory. The reports demonstrate a further and profound development of the Germeyer scientific school.
Corruption in government procurements remains to be one of grave problems in transition economies. A reaction to this problem in Russia came in 2005-2006 in form of a radical reform of government procurements. This paper analyses the main parameters of firms participating in government procurements before and after changes in regulation. Our analysis is based on the data of a survey of 957 manufacturing enterprises conducted in 2009. The questionnaire included queries about participation of firms in supplies to government orders, the extent of «kickback» in public procurement system etc. A similar survey with the same sampling was conducted in 2005, and this enabled us to construct a panel of 499 firms and to have a unique opportunity for a comparison of the situation before and after the radical change in the legislation. Our regression analysis confirmed the hypotheses that in 2005, firms with government stakes, old firms (established before 1992) and larger firms had advantages in access to government orders. Our analysis of the 2009 data showed a substantial growth in the share of firms participating in government procurements. As before, large firms retain their advantages in access to government orders. However for the old firms, the corresponding coefficient became insignificant. On the other hand, firms that are located in more developed Russian regions have obtained advantages in access to government orders. Our analysis of the 2009 data also revealed that factors of active modernization of the enterprises (presence of large-scale investment projects in 2005-2008, exports, ISO certification) had no influence on access of the firms to government orders. At the same time, the fact of having fulfilled government orders in 2004 has positive influence on participation of a firm in government procurements in 2008. Estimated scales of «kickback» in 2009 were practically the same. The results of our analysis enable us to conclude that principal goals of the radical reform in 2005 were never achieved. The conclusion of our paper examines of the reason for this situation and formulates policy implications.
Two classes of two- and three-person games on polyhedral sets of player strategies that appear in estimating fair shares of the market participants in a marketplace are considered. In games from both classes, payoff functions of the players are sums of linear functions of vector arguments or those of linear ones and a bilinear function. Games from the first class are those in which player strategies are connected, i.e., they cannot be chosen by the players independently, whereas player strategies in games from the second class are disjoint. For the games from both classes either sucient or necessary and sucient conditions of the equilibriums are provided, and these conditions allow one to calculate the equilibriums by effective optimization techniques. This fact contributes to making the equilibrium concept a productive approach to quantitatively analyzing conflicts in systems economic studies. Economic problems that appear in systems described by nonlinear mathematical models with linear constraints, in particular, by some network models, including a) restructuring a company and positioning the restructured company in a market or in several markets, b) forming a pool of regional clients interested in selling their products and in buying somebody else's ones outside their regions via forward contracts offered by regional brokers, c) determining initial prices for procurement contracts to be tendered by a public administration, d) nding competitive transportation taris by a railroad company competing with tracking companies for providing transportation services both in a region and between two regions, e) calculating an optimal volume of producing electricity by a base load power plant in a part of a country's electrical grid under an uncertain demand in the corresponding network of the grid customers, and f) forming a public-private partnership to develop a set of projects that a public administration needs to develop and implement, but does not have funds to nance on its own (partly or even completely) are discussed to illustrate how the games under consideration appear, and how they can be analyzed.
On the example of advocacy support of National Population Census in 2010, some specifics features of public information projects under the existing regime of public procurement are considered.
The paper discusses anti-corruption effects of public procurement reforms in Russia
We consider certain spaces of functions on the circle, which naturally appear in harmonic analysis, and superposition operators on these spaces. We study the following question: which functions have the property that each their superposition with a homeomorphism of the circle belongs to a given space? We also study the multidimensional case.
We consider the spaces of functions on the m-dimensional torus, whose Fourier transform is p -summable. We obtain estimates for the norms of the exponential functions deformed by a C1 -smooth phase. The results generalize to the multidimensional case the one-dimensional results obtained by the author earlier in “Quantitative estimates in the Beurling—Helson theorem”, Sbornik: Mathematics, 201:12 (2010), 1811 – 1836.
We consider the spaces of function on the circle whose Fourier transform is p-summable. We obtain estimates for the norms of exponential functions deformed by a C1 -smooth phase.
We address the external effects on public sector efficiency measures acquired using Data Envelopment Analysis. We use the health care system in Russian regions in 2011 to evaluate modern approaches to accounting for external effects. We propose a promising method of correcting DEA efficiency measures. Despite the multiple advantages DEA offers, the usage of this approach carries with it a number of methodological difficulties. Accounting for multiple factors of efficiency calls for more complex methods, among which the most promising are DMU clustering and calculating local production possibility frontiers. Using regression models for estimate correction requires further study due to possible systematic errors during estimation. A mixture of data correction and DMU clustering together with multi-stage DEA seems most promising at the moment. Analyzing several stages of transforming society’s resources into social welfare will allow for picking out the weak points in a state agency’s work.